General Motors Corp
30 May 2000
Dated: 26 May 2000
Contact:
Catherine Dunsby
(212) 418-6385
GM ANNOUNCES FINAL RESULTS OF SUCCESSFUL EXCHANGE OFFER
DETROIT - General Motors (NYSE: GM, GMH) today announced the final results of
its highly successful exchange offer of GM Class H common stock for outstanding
shares of GM $1-2/3 par value common stock, including the final proration factor
of 24.78958662 percent. The exchange offer period concluded at midnight on May
19, 2000.
The exchange, which was substantially oversubscribed, effectively accomplished
the repurchase of about 14 percent of GM $1-2/3 stock and, as a result, will
have a significant favorable impact on GM $1-2/3 earnings per share going
forward. In addition, GM's plan to contribute up to $7 billion of Class H stock
to certain of its employee benefit plans would reduce GM's annual pension
expense and other post-retirement employee-benefit expense and would strengthen
GM's financial position.
Based on the final count by the exchange agent, 339,700,412 shares of GM $1-2/3
stock were validly tendered, including 2,899,364 shares held by eligible odd-lot
stockholders. On the basis of 1.065 shares of Class H stock for each share of GM
$1-2/3 stock, in accordance with the exchange ratio, GM has accepted 86,396,977
shares of GM $1-2/3 stock in exchange for a total of 92,012,781 shares of Class
H stock. All shares of GM $1-2/3 stock tendered by eligible odd-lot stockholders
have been accepted; all other shares have been accepted at the proration factor
stated above.
Morrow & Co., Inc. is GM's information agent for the share exchange.
Stockholders with questions about the share exchange may contact Morrow &
Co. toll-free within the United States at (877) 816-5329, or collect from
outside the U.S. at (212) 754-8000.
Shares of GM Class H will be credited promptly to accounts of tendering
stockholders by the stock transfer agent, registrar and exchange agent, Fleet
National Bank.
Morgan Stanley Dean Witter acted as dealer manager for General Motors in
connection with the exchange offer. Hughes engaged Salomon Smith Barney, Inc. as
marketing manager in connection with the exchange offer.
GM has filed a final Registration Statement on Form S-4, including a final
prospectus, regarding the exchange offer referred to above and has filed other
documents with the SEC which contain related important information, all of which
investors are advised to read. Holders of GM $1-2/3 common stock may obtain a
free copy of the final prospectus and other documents filed by General Motors at
the SEC's website at www.sec.gov, at GM's website at www.gm.com, or from General
Motors by directing such request in writing or by telephone to: GM Fulfillment
Center, 30200 Stephenson Hwy. (MC 480-000-FC1), Madison Heights, Mich. 48071,
telephone: (313) 667-1500, menu option £2. Inquiries from the news media should
be directed to GM Communications at (212) 418-6380.
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